A Customer Relationship Management system and Marketing Automation are different. Did you think they both were same? If yes, that’s OK. Many of us do. The CRM and Marketing Automation may look similar but have two different purposes of usage. They are interrelated to each other in the entire business process with certain differences among each other.
Let us have a detailed look at the differences between CRM and Marketing Automation
A marketing automation system is a software platform that helps marketing representatives efficiently perform activities across email, websites, social media, and more.
By replacing manual, repetitive tasks with automated tools, marketing automation streamlines sales and marketing processes. It enables marketers to plan, coordinate, and manage campaigns more effectively. The software focuses on generating more sales-ready customers.
Customer Relationship Management is an approach in order to manage the company’s interaction with the current customer. It is one such management process in which the companies can maintain a good relationship and stay connected to the customers. In turn it also improves the profitability of the company.
CRM records and maintain all the essential details of your business process. One can easily map and monitor the sales activities. It provides up-to-date and easy access to any information. It helps businesses to close deals faster as it helps to develop better communication between all the departments and also ensures higher customer retention
This table clears the confusion once and for all.
| Point of Difference | Marketing Automation | CRM |
|---|---|---|
| 1. What it manages | Manages marketing campaigns and lead behaviour | Manages customer data and sales activities |
| 2. Data it stores | Anonymous visitor data, campaign responses, email opens | Complete customer profile, purchase history, calls, complaints |
| 3. Main users | Marketing executives and digital marketers | Sales executives, account managers, service team |
| 4. Time of use | Before a lead becomes a customer | After a lead becomes an opportunity and customer |
| 5. Key action | Segment, target, and nurture leads | Track, follow up, and close deals |
| 6. Communication type | One-to-many (one email to many people) | One-to-one (personal calls and meetings) |
| 7. Return on investment | Measured by leads generated and campaign ROI | Measured by deals closed and customer retention |
Want to know how to Identify your potential lead source?
Marketing automation is used to pull inquiries to the right channel.
And a CRM Software helps to transform those inquiries into business corporation.
Suppose you run a manufacturing unit in Pune. A person visits your website and downloads your product catalogue. Marketing automation notes this action, sends him a thank you email, and after 3 days sends a case study of how your product helped another factory.
When that person replies and asks for a price, he becomes a hot lead. Now your sales team takes over inside the CRM. They create a quotation, schedule a plant visit, and finally close the order. After sales, the CRM keeps the service history.
So, marketing automation started the conversation. CRM finished it.
Both tools have different jobs in your business.
| Aspect | Marketing Automation | CRM Software |
|---|---|---|
| Main Purpose | To attract new prospects and nurture them | To manage existing prospects and customers |
| Primary Goal | Generate more qualified leads | Convert leads into customers and retain them |
| Focus Area | Top of the funnel (before sales) | Middle and bottom of the funnel (during and after sales) |
| Who it helps most | Marketing team | Sales and service team |
Marketing Automation focuses on online marketing strategies whereas the CRM software or Sales Force Automation focuses on sales oriented process.
| Marketing Automation | Customer Relationship Management |
|---|---|
| Lead generation | 1.Contact management |
| Lead nurturing | 2. Lead management |
| SMS campaigns | 3. Customer service management |
| Email campaigns | 4. Task management |
| Segmentation | 5. Sales forecasting |
| Landing page | 6. Reporting |
| Social media marketing | |
| Analytics | |
| Multi-media marketing |
Check out our blog – 5 Amazing automation features of CRMs you need to be using
Read our blog – Benefits of using a CRM for your business
The Marketing Automation Software helps you to create awareness about your products and services to the buyers with the help of its marketing tools.
CRM Software
Whereas, the Customer Relationship Management Software helps you to set up for the purchase of the products or services by the buyers.
Want to understand the working of the sales pipeline with regard to the usage of marketing automation and CRM software? Here are the stages of the sales pipeline that is managed by the marketing automation and CRM software.
Check out SalesBabu Marketing Automation Software that is loaded with features and functionalities to automate marketing activities.
Check out SalesBabu Cloud based CRM Software that is loaded with features and functionalities to streamline sales process and automate salesforce.
Want to know more? Check out our blog – Align Sales & Marketing Efforts In Your Organization For Maximizing Output
Conclusion
Alignment of Marketing Automation and CRM System allows both sales and marketing department to work together as a team. The sales and marketing departments can work for each other with the help of the Market Automation Software and CRM as the marketing team becomes responsible for increasing the sales of the company and the sales team becomes responsible for improving the ROI (Return on Investment) of marketing campaigns.
The business firm that focuses on alignment of sales and marketing in order to work more productively are the companies which are able to outshine in the market and push their competition into the background.
Want to see how SalesBabu CRM and Marketing Automation work together for your business? Book a free demo today and get a personalised walkthrough from our team.
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